Description
Calculate constant-burn cash runway after restricted funds and committed payments, preserving a signed shortfall.
Startup cash budgets distinguish available funds, committed outlays, restricted balances and expected receipts. Subtracting commitments can create a negative balance even while total cash remains positive; dividing by burn assumes a constant spending rate.
Calculate constant-burn cash runway after restricted funds and committed payments, preserving a signed shortfall.
When to use this tool
Use Startup Runway Committed Cash Adjustment when checking a supplied cash commitment, balance or runway contribution.
How to use the tool and how it works
- Enter cash, restrictedCash, committedPayments, monthlyNetBurn. Use the units and conventions below.
- Run the tool. Correct any format, range, or cross-field input error before interpreting the output.
- Read availableCash, runwayMonths. Use the output convention below.
Require nonnegative cash, restrictedCash <= cash and committedPayments and positive monthlyNetBurn. availableCash = cash-restrictedCash-committedPayments; runwayMonths = availableCash/monthlyNetBurn. Use a common currency and monthly burn basis.1
| Input field | Meaning and units | Accepted input |
|---|---|---|
| cash | Cash | Required. Finite number; minimum 0. |
| restrictedCash | Restricted Cash | Required. Finite number; minimum 0. |
| committedPayments | Committed Payments | Required. Finite number; minimum 0. |
| monthlyNetBurn | Monthly Net Burn | Required. Finite number; strictly above 0. |
| Output field | Interpretation | Returned shape |
|---|---|---|
| availableCash | Available Cash | Required. Finite number. |
| runwayMonths | Runway Months | Required. Finite number. |
{
"input": {
"cash": 200000,
"restrictedCash": 20000,
"committedPayments": 30000,
"monthlyNetBurn": 25000
},
"output": {
"availableCash": 150000,
"runwayMonths": 6
}
}Limitations and assumptions
- Commitments can exceed unrestricted cash, producing negative availability and runway. Constant burn is assumed; commitments are not independently verified.
- Inputs must satisfy both the field types and the cross-field conditions above. Invalid input causes an error; a successful false flag or documented placeholder is a different result.
- Numeric calculations use binary floating point unless exact decimal-integer arithmetic is explicitly stated. No hidden measurement tolerance or decimal rounding is added; nonfinite or out-of-contract results are rejected. Numeric signed-zero results are exported as zero.
Alternative or Complementary methods
Use a dated cashflow forecast and the actual funding or payment terms when timing, changing burn or enforceability matters.
References
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